Inventory Market At this time: Nasdaq clinches document shut as tech reigns supreme

Investing.com — The Nasdaq closed at a document excessive Monday, as tech continued to shine forward of the final Federal Reserve coverage assembly of the yr.

At 4:00 p.m. ET (21:00 GMT), the NASDAQ Composite climbed 1.1% to a document shut of 20,173.74. The Dow Jones Industrial Common fell 0.3% and the S&P 500 rose 0.4%.

Broadcom’s surge elevate chips; Tesla hits contemporary document excessive; Ford falls on downgrade

Broadcom Inc (NASDAQ:AVGO) rose greater than 10%, lifting the broader semiconductor sector as Wall Avenue continues to make bullish calls on the inventory following the chipmaker’s stronger quarterly outcomes launched final week.   

Broadcom market has elevated greater than $300B since reporting earnings Thursday evening, Very important Information stated in a Monday be aware.

Tesla Inc (NASDAQ:TSLA), in the meantime, shut at contemporary document excessive because the EV maker continues its post-election rally that has pushed its market cap to round $1.45T. Wedbush lifted its worth goal on the corporate to $515 from $400, forecasting that it might might hit $650 by the tip of subsequent yr.

MicroStrategy (NASDAQ:MSTR) inventory gave up positive aspects to shut flat even because it was introduced as a brand new addition to the Nasdaq 100 index.

Ford Motor Firm (NYSE:F), in the meantime, fell 4% after Jefferies downgraded shares to underperform from maintain, citing considerations over extra stock.

Capri Holdings (NYSE:CPRI) shares rose 4% after Girls’s Put on Each day reported that the corporate is exploring potential consumers for its Versace and Jimmy Choo manufacturers, working with Barclays (LON:BARC) to facilitate the method.

Whereas discussions are within the early phases, it stays unclear whether or not the 2 manufacturers can be bought collectively, individually, or in any respect.

Honeywell Worldwide Inc (NASDAQ:HON), in the meantime, rose greater than 3% after saying that it was mulling the opportunity of spinning off its aerospace division. The transfer comes amid activist investor strain.

Fed price minimize on faucet, 2025 outlook in focus

The Fed is broadly anticipated to minimize rates of interest by 25 foundation factors on the conclusion of a two-day assembly on Wednesday, after the central financial institution kicked off an easing cycle earlier within the yr.

The transfer will convey charges down by a complete of 100 bps in 2024.

However focus this week can be squarely on the central financial institution’s plans for future easing, particularly within the face of probably sticky inflation and resilience within the labor market.

Analysts broadly anticipated the central financial institution to sign a slower tempo of price cuts within the coming yr, with latest feedback from Fed officers additionally suggesting as a lot.

Merchants have been seen pricing in a 79.7% probability the Fed will go away charges unchanged when it meets in January, CME Fedwatch confirmed.

Preliminary S&P World PMI exercise knowledge can even be studied for clues of the power of the economic system.  

(Peter Nurse, Ambar Warrick contributed to this text.)